No more luxury villas: Popular Balaton village bans panoramic luxury holiday homes

A small village on the southern shore of Lake Balaton has decided to stop the spread of luxury holiday homes in order to protect its historic vineyards and quiet rural atmosphere.

Lake Balaton’s Kőröshegy halts hillside development

The municipality of Kőröshegy has introduced a strict measure preventing certain agricultural plots from being removed from cultivation, SONLINE reported. This effectively blocks the construction of new panoramic holiday homes on the scenic hillside overlooking the lake.

Local authorities say the aim is to ensure that the landscape continues to be defined by vineyards and orchards rather than a rapidly growing holiday-home zone.

Mayor Gyula Poór explained that the village’s so-called “zártkert” areas (small agricultural plots traditionally used for cultivation, lit. “closed garden”) belong to a first-class vineyard classification. These lands form part of the renowned Balatonboglár wine region, making their preservation particularly important for local producers and wineries.

According to the mayor, the municipality wants to make sure that the hillsides remain covered with carefully maintained rows of vines rather than newly built villas targeting holidaymakers.

Protecting local winemaking and tranquillity

Local leaders say the tightening of rules is primarily intended to safeguard small-scale farmers and the region’s wine culture. Another concern is the potential transformation of the quiet countryside into a busy resort area.

Despite the picturesque views over the lake that have attracted many buyers in recent years, the village leadership wants to prevent uncontrolled development driven by tourism and second-home construction.

By keeping the land in agricultural use, officials hope to maintain the traditional landscape that has long defined the area.

Warning example: the Budapest agglomeration

Although the population of Kőröshegy has been steadily growing, local authorities say they want to avoid the kind of rapid expansion seen around Budapest.

In many settlements near the capital, sudden population growth and intensive construction have placed heavy pressure on infrastructure and dramatically changed the character of once-quiet villages.

“This is something we do not want,” the Balaton village’s mayor said, talking about the overcrowded suburban developments that have become increasingly common in the capital’s surrounding areas.

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Village still welcomes permanent residents

The new restriction specifically targets the spread of luxury holiday homes rather than residential development in general.

Kőröshegy’s leadership emphasised that the village remains open to people who genuinely wish to settle there. Local authorities continue to support housing programmes and are exploring ways to allow carefully planned residential construction without harming the area’s liveability.

With infrastructure including a medical practice, kindergarten, pharmacy and post office in place, the village hopes to attract residents who value the region’s traditions and natural environment while helping maintain its rural character.